Bills

Local Government and Other Legislation Amendment (Places of Public Worship) Bill 2026

17 March 2026 • New South Wales Parliament

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The Hon. COURTNEY HOUSSOS (Minister for Finance, Minister for Domestic Manufacturing and Government Procurement, and Minister for Natural Resources) ( 21:34 :16 ): On behalf of the Hon. Tara Moriarty: I move:

That this bill be now read a second time.

The Local Government and Other Legislation Amendment (Places of Public Worship) Bill 2026 proposes amendments to the Local Government Act 1993 and the Environmental Planning and Assessment Regulation 2021 to introduce further reforms to enhance community safety following the horrific terror attack that occurred at Bondi Beach on 14 December 2025. These reforms build on those previously passed by this Parliament in December. The Government believes that in order to prevent further acts of terrorism and hate, action must be taken to prevent individuals preaching hate in unauthorised, unlawful places of worship across the State. This important measure is tailored specifically to improving the ability of local councils to respond. It builds on councils' existing powers and responsibilities to regulate and manage unauthorised religious premises, particularly those that incite hate.

I seek leave to have the remainder of my speech incorporated in Hansard.

Leave granted.

The bill contains measures to:

Enable local councils to apply to the Land and Environment Court for orders directing utility providers of water, gas and electricity to cut off services to premises being used as places of public worship if they fail to comply with a stop use order ‑ effectively shutting them down,

Increase the maximum penalty available for a person's failure to comply with a stop-use order issued under the Environment Planning and Assessment Act 1979 (the Planning Act) from $3,000 to $6,000 in the case of an individual and from $6,000 to $12,000 in the case of a corporation, and

Increase the maximum penalty for a person's failure to comply with certain public safety orders available under the Local Government Act 1993 (the Local Government Act) from $11,000 to $110,000 for individuals and from $22,000 to $220,000 for corporations.

These measures will be complemented by additional reforms proposed to be introduced by the New South Wales Government, including requirements for local councils to consult with the NSW Police Comm issioner on community safety matters before approving a development application for new places of public worship, or changes to the use of an existing place of public worship.

These reforms are being led by the Department of Planning, Housing and Infrastru cture, across the Planning and Local Government portfolios.

No-one in this Parliament wishes that the terrorist attack of 14 December took place, nor that we would have to pass this legislation.

However, all levels of Government now have the duty to ensure community safety.

Local government already has a strong role to play in this context, and the bill today enhances the existing powers, responsibilities and duties of councils to manage community safety.

This is not a case of cost or responsibility shiftin g ‑ there is no expansion of responsibility to local government.

Instead, we are enhancing the powers of local government to manage a known risk to community safety.

Effective management of community safety requires a partnership across all levels of gover nment.

To this end the New South Wales Government is committed to working with local councils to effectively implement the provisions of this bill and to provide ancillary support to ensure all levels of government continue to work together to address the issues this bill seeks to resolve.

I turn now to the provisions of the bill.

Local Government Amendments

Schedule 1 of the bill amends section 628, subsection (1A), of the Local Government Act to increase the maximum penalty for a failure to comply with ce rtain orders given under section 124 of that Act.

Under the existing statutory framework, a local council may order a person to "not conduct, or to cease conducting, an activity on premises" whether or not the activity has been approved under the Local Gov ernment Act.

A council may issue such an order if the activity being carried out on the premises constitutes, or is likely to constitute, a life threatening hazard, or a threat to public health or public safety and is not regulated or controlled under any other Act by a public authority.

A council may also order a person to cease the use of a premises or to evacuate premises or to leave premises or not to enter premises in similar circumstances.

It is an offence against the Local Government Act for a person to fail to comply with such an order. A person's failure to comply with an order will attract a maximum fine of $11,000 in the case of an individual and $22,000 in the case of a corporation.

Importantly, offences against these orders have not been prescri bed as penalty notice offences and must be prosecuted in a court of competent jurisdiction.

The measures contained in the bill will increase the maximum penalty that may be imposed by a court with respect to a person's failure to comply with those orders.

Specifically, the bill will amend section 628(1A) of the Local Government Act to increase the maximum monetary penalty that may be imposed from $11,000 to $110,000 in the case of an individual, and from $22,000 to $220,000 in the case of a corporation.

Hig her penalties associated with prosecutions for non-compliance reflects the seriousness that the Parliament and indeed the community place on ensuring threats to public safety are managed and appropriately addressed.

The reforms to the Local Government Act are intended to support local councils to take swift action against persons who defy public safety orders issued under that Act by reassuring them that the penalty for non-compliance with those orders, will be severe.

Planning Amendments

Schedule 2, item [1] of the bill amends section 282, subsection 1, to prescribe places of public worship as a type of development that may be subject to a utilities order under the Planning Act while Schedule 2, item [2] of the bill increases the maximum penalty for non-co mpliance with certain development control orders issued under the Planning Act.

Together these amendments, like those proposed under the LG Act, are intended to encourage local councils to take action where premises are being used to promote activities tha t pose a risk to public safety and community cohesion.

Under the Planning Act a local council already has the power to issue a development control order to, among other things, direct a person to stop using a premises or building or to not conduct or to stop conducting an activity on the premises if the premises or building is being used in a way that is inconsistent with planning approvals or poses a risk to public health and safety.

It is an offence for a person to fail to comply with a development cont rol order.

The Environmental Planning and Assessment Regulation 2021 prescribes non-compliance with certain development control orders as penalty notice offences attracting a maximum fine of $3,000 in the case of an individual and $6,000 in the case of a c orporation.

However, councils can also elect to go to court to seek higher penalties of up to of $1 million plus $10,000 a day for continuing offences by individuals, and $5 million plus $50,000 a day for continuing offences by corporations.

The measures c ontained in the bill will increase the penalty notice amounts from $3,000 to $6,000 in the case of an individual and $6,000 to $12,000 in the case of a corporation.

This means that local councils will now have the power to issue higher on-the-spot fines fo r breaches of development control orders that direct a person to stop using a premises or a building, or to not conduct or stop conducting an activity on the premises.

In the most extreme cases, where a person fails to comply with such an order, the amendm ents proposed in the bill will provide local. councils with the power to approach the NSW Land and Environment Court for a utilities order directing the provider of water, electricity or gas to the premises concerned cease to provide those services - effec tively shutting the premises down for a period of time.

This is an existing power in the Regulation that applies to other types of development. The bill proposes to expand the existing power to apply to places of public worship.

A utilities order will rema in in effect for the period specified in the Order, as determined by the NSW Land and Environment Court, or three months after the utilities order has been made, whichever occurs first.

I want to reassure all members that the decision of a council to appro ach the Land and Environment Court for a utilities order is not a decision that councils will take lightly. It is a last resort - namely in circumstances where a person has elected not to comply with development control order directing them to stop using a premises or to not conduct or to cease conducting certain activities on a premises.

Important safeguards are already built into the Planning Act to ensure the rules of procedural fairness are observed in relation to the making of a utilities order. For ex ample:

An application for a utilities order must not be made unless the council has given at least seven days' notice of the proposed application to the person to whom the development control order was given, the provider of water, electricity or gas to the premises, and the owner or occupier of the premises,

An owner or occupier of premises, or a provider of water, electricity or gas to premises, who is affected by an application for a utilities order is entitled to be heard and represented in proceedings for the utilities order,

In determining whether to make a utilities order, the NSW Land and Environment Court is required to take into consideration the following matters:

the effects of the failure to comply with the development control order,

the uses of the premises,

the impact of the utilities order on the owner, occupier or other users of the premises,

whether health, safety or public amenity will be adversely affected by the issue of a utilities order,

any other matter the NSW Land and Environment Court thinks appropriate,

In addition, as I remarked earlier, a utilities order ceases to have effect on the date specified in the utilities order, or three months after the order is made, whichever occurs first. This safeguard operates to limit the length o f time that utilities may be disconnected from a premises.

Together, these safeguards operate to prevent a misuse of the power to issue a utilities order. Indeed, the requirement for a utilities order to be issued by the NSW Land and Environment Court ensu res that an independent body is responsible for deciding whether a utilities order is appropriate, in the circumstances.

The bill does not change that. Nor does the bill undermine the principles of procedural fairness applicable· to persons to whom a utili ties order or a development control order may be directed. The reforms in this bill build upon existing powers available to local councils for a specific purpose - to discourage the use of premises, including those used as places of public worship, from en gaging in activities that promote hate, fear, intimidation or violence towards a person or class of persons.

The terror attack of 14 December is a devastating and tragic event having impacts for communities across New South Wales , both directly and indirectly.

This Government is committed to helping communities rebuild but recognise for many their lives will never be the same.

Every member of the community has the right to feel safe and secure using public space and engaging in public celebration.

Th e priority of all levels of government is to ensure the safety of its citizens regardless of their individual characteristics or their religion. This bill will assist local government to play their part in achieving that priority.

I commend this bill to th e House.

Second Reading Debate

The Hon. CHRIS RATH ( 21:35 :34 ): I speak on behalf of the Opposition in support of the Local Government and Other Legislation Amendment (Places of Public Worship) Bill 2026. After the tragedy that befell Bondi in December last year, it was made clear that this Parliament had a duty to do more to prevent the scourge of antisemitism in our society. It was also made clear that this Parliament had a duty to do more to prevent antisemitic hate speech and hate preachers. The bill represents a crucial element of this Parliament upholding that duty and protecting our State. I am pleased to support it on behalf of the Opposition. The bill empowers councils with three new or expanded powers aimed at empowering them to shut down unlawful places of worship and, in particular, to shut down unlawful hate preachers.

Firstly, the bill enables councils to apply to the Land and Environment Court for orders to cut water and electricity services in instances where places of worship fail to comply with a stop use order. That represents a measured expansion of already existing provisions for backpacker premises and boarding houses. Secondly, the bill increases the maximum penalty notice available for failing to comply with a development control order issued under the Environmental Planning and Assessment Regulation 2021 from $3,000 to $6,000 for individuals and from $6,000 to $12,000 for corporations. Finally, the bill increases the maximum penalty for failing to comply with certain safety orders available under the Local Government Act 1993 from $11,000 to $110,000 for individuals and from $22,000 to $220,000 for corporations.

The measures ensure that local governments have the power to shut down illegal prayer halls, which have come to proliferate communities across Sydney, whilst also ensuring that penalties adequately reflect the serious threats those organisations pose to our State. The bill must not, however, be the only answer this Government has to antisemitism. The Government cannot evade responsibility by passing on the obligation to tackle one of the greatest challenges facing New South Wales to local councils, which are under-equipped and under-resourced. If councils are being given expanded powers, the Government must accompany them with greater resources to ensure that enforcement is possible and effective. The Government must also acknowledge that we will not be able to eliminate antisemitism solely through the closure of unlawful places of worship and prayer halls.

This Parliament and this Government must address the underlying causes of hate speech and division within our State, or else preachers will simply move elsewhere. We cannot continue to play catch-up, solely reacting to radicalisation and hate speech after it has spread around our State. The Government must bring a coordinated strategy to ensure that we are preventing the establishment and promotion of dangerous and hateful ideas, not merely shutting them down when they appear time after time. This Parliament must continue to be unequivocal in its resolve to eradicate antisemitic hate preachers in our society. While the bill is important, it is not the final step. I am pleased to commend the bill to the House.

Ms SUE HIGGINSON ( 21:39 :05 ): The Greens approach the Local Government and Other Legislation Amendment (Places of Public Worship) Bill 2026 with a clear understanding of the responsibility of the Parliament to respond to matters of public safety in a careful and evidence-based manner, particularly where reforms intersect with religious practice, minority communities and the planning system in New South Wales. This legislation has been framed by the Government as addressing unlawful or unauthorised places of worship. However, the material presented to Parliament does not demonstrate a systemic failure of existing enforcement mechanisms under the Local Government Act or the Environmental Planning and Assessment Act framework.

The publicly referenced example of a prayer hall in Bankstown involved the use of existing compliance powers, including the issuing and enforcement of a stop use order under the current law, and there has been no detailed presentation of data indicating that councils are routinely unable to secure compliance, that courts are refusing to make enforcement orders, or that existing penalty settings have proven ineffective as a deterrent. In the absence of such evidence, the escalation of penalties contained in the bill raises concern, specifically of proportionality.

The proposal to double the maximum penalties for failure to comply with a stop use order and to increase certain public safety order penalties by a factor of 10 represents a significant expansion of punitive exposure for individuals and other entities without any accompanying analysis demonstrating why the current settings are insufficient. A penalty of up to $110,000 for an individual is a serious financial consequence that will inevitably fall most heavily on small congregations and community-based organisations, including migrant and minority faith groups who may be operating in leased or adapted premises and who do not have access to substantial legal or compliance resources. In circumstances where the Government has not demonstrated widespread or repeated noncompliance that cannot already be addressed under existing law, such increases appear excessive.

The bill also introduces a mechanism whereby councils may apply to the Land and Environment Court for orders directing utility providers to disconnect services where a stop use order has not been complied with. While a requirement for court involvement provides an important safeguard, the disconnection of electricity or water to premises is a serious regulatory intervention with potentially wideranging consequences, particularly in mixed‑use or residential contexts. It is appropriate that the Parliament scrutinises carefully whether that escalation is genuinely necessary, whether it is likely to be used in a targeted and proportionate manner, and whether less severe enforcement pathways are already available and adequate.

There is a broader context in which this legislation is being advanced. The Government has, on a number of occasions, announced policy positions in response to high-profile events in a manner that precedes the presentation of detailed evidence or structured consultation, and the bill reflects that pattern. The Premier's public statements following the Bondi attack created the impression of an enforcement gap relating specifically to places of worship, yet the legislative material before us does not substantiate that gap through empirical analysis or regulatory review. Law reform that follows tragedy must be grounded in demonstrable need rather than shaped by immediate political messaging.

The timing of the introduction of the bill also warrants comment. The bill was brought forward just days after the NSW Police Force engaged in conduct involving the violent assault of peaceful Muslim worshippers gathered in a public area, an incident that has caused significant distress and concern within affected communities. Introducing legislation that increases regulatory sanctions and enforcement mechanisms in relation to places of worship in that immediate context risks compounding perceptions of targeting and undermining community confidence in public institutions. Regardless of the Government's stated intention that the bill addresses planning compliance rather than religious practice, the symbolic and practical effects cannot be divorced from the lived experience of communities who have recently been subjected to significant excessive police force.

Further concern arises from the foreshadowed reforms requiring councils to consult with the New South Wales Commissioner of Police on community safety matters before approving developments for new or altered places of worship, which are to be implemented through non‑disallowable planning instruments rather than through primary legislation. Embedding police consultation into the development assessment process for religious premises represents a significant shift in the character of planning law in New South Wales, and such a change should be subject to full parliamentary scrutiny rather than effected through regulatory mechanisms that limit the capacity of this House to review or disallow them. Of course the police get involved in planning matters, but that is normally around roads and road safety; it is not normally about religious practice.

The Greens do not dispute that unlawful land use should be addressed and that councils must have appropriate tools to ensure compliance with planning controls. However, the evidence before Parliament does not establish that existing stop use orders, court enforcement pathways and penalty provisions are inadequate in fact or in law. In circumstances where the Government has not demonstrated systemic enforcement failure, the substantial escalation of penalties and the expansion of disconnection powers to essential services cannot be regarded as proportionate or necessary responses. For those reasons, The Greens will not support the bill in its current form. Public safety, planning integrity and respect for religious freedom should never be approached as competing values. We have an obligation to balance competing interests through careful and evidence‑based lawmaking. The bill as drafted does not achieve that balance. It is entirely political and about achieving a political objective. That time has passed, and The Greens will not support the bill.

The Hon. TANIA MIHAILUK ( 21:46 :24 ): I make a brief contribution to debate on the Local Government and Other Legislation Amendment (Places of Public Worship) Bill 2026. I state from the outset that I do not oppose the bill; in fact, I support it. As I understand, this bill has been introduced by the Government as part of its response to the horrific antisemitic terrorist attack at Bondi Beach on 14 December. As a former member for Bankstown, I am acutely aware that many unauthorised places of worship operate outside the scope of the law and without the appropriate planning approvals from local council. That lack of oversight creates an environment where activities can occur unchecked. In some cases, radicalisation is not confined to a building at all. It occurs in plain sight on the street, outside train stations or in local shopping strips, where vulnerable individuals can be targeted without scrutiny or intervention.

It is within this context that the bill seeks to act from a regulatory perspective. The bill amends the Local Government Act 1993 and the environmental planning and assessment framework to address and strengthen the enforcement powers available to local councils in relation to unlawful places of public worship. The bill introduces a mechanism enabling councils to apply to the Land and Environment Court for orders directly allowing utility providers to disconnect water and electricity services where a premises continues to operate in breach of a stop use order. The bill also increases penalty notice amounts for failure to comply with the development control orders under the Environmental Planning and Assessment Act, raising penalties to $6,000 for individuals and $12,000 for corporations.

I understand that councils will continue to have access to existing court‑based enforcement pathways, including the ability to seek significantly higher penalties in cases of serious or ongoing noncompliance. In addition, the bill amends the Local Government Act to increase penalties for noncompliance with certain public safety orders, with maximum penalties rising to $110,000 for individuals and $220,000 for corporations. Councils also retain the ability to seek higher penalties through the courts, including up to $1 million plus $10,000 per day for continuing offences by individuals and $5 million plus $50,000 per day for continuing offences by corporations. Taken as a whole, these are significant penalties, and I welcome the stronger deterrence that they intend to provide.

While the bill does create a stronger deterrence framework for noncompliance and planning frameworks, I am concerned that the unintended consequence of these reforms may be that hotspots for radicalisation, such as the Al Madina Dawah centre that was at Bankstown, will continue to operate in a more concealed manner and without oversight by authorities. It was reported, of course, that that particular centre has now been permanently shut. If true, it is a good outcome for Bankstown and for the entire New South Wales community.

However, as a former member for Bankstown, my concern is that radical Islam in communities like Bankstown is spread by extremists who have no regard for the law, particularly planning laws. This is a concern I raised in December when contributing to debate on the Terrorism and Other Legislation Amendment Bill 2025 following the Bondi terrorist attack. The failure that led to that atrocity was the longstanding reluctance of authorities and political leaders to confront antisemitic radicalisation directly, consistently and without fear. Two terrorists were radicalised here at home, potentially in Bankstown, and progressed along a pathway of extremist ideology to commit violence against innocent Jewish Australians.

The bill does not address this problem. This is why, at the most recent budget estimates hearing, I asked both the Minister for Education and Early Learning and the Minister for Skills, TAFE and Tertiary Education whether extremists such as Wisam Haddad, who is associated with the Al Madina Dawah Centre, have ever visited a New South Wales public school or TAFE campus to deliver sermons promoting extremist views. I expect a thorough review of school and TAFE visitor logs to ensure students have not been exposed to potentially harmful rhetoric. This core issue is not addressed in the bill. In places like the Al Madina Dawah Centre in Bankstown, the core concern is what is being preached—hatred in the false name of a religion—more so than the absence of a development application to operate an approved place of worship. That is why I have consistently said that, if we are serious about addressing radicalisation from radical Islam, community leadership matters.

The overwhelming majority of Australian Muslims are indeed peaceful, law-abiding citizens who reject terrorism and extremism in all their forms. This is why Islamic organisations and community leaders are best placed to identify early signs of radicalisation. Those institutions already operate within the planning and regulatory framework, with the appropriate development approvals. As a result, the measures in this bill are unlikely to materially assist their efforts to counter radicalisation on the ground. That distinction is important. The bill is directed at unlawful premises and strengthening compliance with planning laws, but the drivers of radicalisation and violent extremism sit beyond that regulatory framework.

In conclusion, I welcome the bill and the stronger enforcement powers it provides to local councils. However, we must be clear that planning enforcement alone will not address the deeper issues of radicalisation and violent extremism. Addressing radical Islam requires a broader and more direct response, and the bill represents only a part of that task.

Ms CATE FAEHRMANN ( 21:51 :57 ): As The Greens spokesperson on multiculturalism, I have been liaising on the Local Government and Other Legislation Amendment (Places of Public Worship) Bill 2026 with a number of different faith groups in the new year. When the bill was first put to the media after the Bondi attack—because that is the way it was put to the community—the Premier used the language "shutting down factories of hate". Those were the words he used—that this legislation is a crackdown on "factories of hate", which are unlawfully promoting hate and intimidation and dividing our community. The bill seeks to bolster existing powers by increasing fines for illegal places of public worship and give councils the power to cut off their water and power if they breach planning laws and ignore orders to cease.

Certain faith groups got in touch with me, including representatives of the Buddhist faith. They were very concerned because their places of worship are, in fact, in many ordinary houses and in many suburban neighbourhoods. They were concerned about what they needed to do and what declaring certain places of worship illegal meant and, indeed, what was a public place of worship. Perhaps most concerning of all is the incredible lack of consultation from the New South Wales Government and the Premier with the very communities this bill will impact. It has been complete crickets, with no consultation whatsoever. We have asked the Minister, and we have looked at the statement of public interest. From my conversations with various peak Muslim groups and leaders in those communities, none of them have been consulted about the bill. The statement of public interest says:

Consultation: Were the views of affected stakeholders sought and considered in making the policy?

The NSW Government has been clear about the importance of the need for all levels of Government supporting community safety and social cohesion. Discussions on the approach to increased enforcement powers have been held with the peak body for councils, Local Government NSW. The New South Wales government will work with local councils to ensure the effective implementation and operationalisation of these reforms.

It is not just extraordinary and disappointing but also completely unacceptable that, after the Bondi incident, this Government, the Premier and the relevant Ministers use the term "social cohesion" to not consult with faith communities and Muslim communities about the impacts of this bill. It is, frankly, disgraceful. From the conversations I had with the Australian Federation of Islamic Councils, the Imams council, the Lebanese Muslim Association, and Muslim Women association, none of them had been consulted at all. They talked about what a place of public worship is for them and how Muslims have to pray five times a day, anywhere that is available at a particular time—out the back of shops, above shops, in community halls and so many different places.

I am not talking about so-called factories of hate or whether a particular preacher is preaching potential hate speech or violence. The vast majority of Muslim communities pray in shopfronts, out the back of shops, above stores and everywhere else. But even if that is all above board, the Premier's language—"factories of hate"—makes so many people in the community able to lash out when they see Muslims praying in different places of worship. Targeting them with that language and passing bills like this give certain councils—and we know the make-up of some councils—more of an ability to target the Muslim community.

I did not think this bill would come on for debate after it was announced and, hopefully, consulted on with the community, which has not happened. After the backlash against the behaviour of the police towards the Muslim worshippers at the protest against Herzog's visit, I thought something had shifted. I thought there might be a reassessment because this was done so quickly and without consultation. It was just an attempt by the Premier to look as though he was responding in support of the Jewish lobby and community at that time. But here it is. I echo the concerns put forward by my colleague Ms Sue Higginson. The bill has upset and distressed Muslim communities and groups. Again, how can we introduce a bill and not put forward the views of those it is going to have such an impact on? Can we please stop doing that? Enough is enough.

The DEPUTY PRESIDENT ( Ms Abigail Boyd ): Order! According to standing order, it being 10.00 p.m. proceedings are interrupted.

  • avatar of Courtney Houssos CH

    Courtney Houssos
    ALP NSW

    Minister for Finance

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  • avatar of Tara Moriarty TM

    Tara Moriarty
    ALP NSW

    Minister for Agriculture